The Affluent Support Higher Taxes — On the Rich

By Robert Frank

Poll after poll shows that a majority of Americans support higher taxes on the wealthy, even when “wealthy” is defined as those making more than $250,000 a year.

Presumably, most of those polled don’t make the income cut-off, so it’s easy for them to demand that someone else pay for the nation’s debt.

But what about the affluent and wealthy themselves? It turns out the same phenomenon holds true.

According to a poll from Harrison Group and American Express Publishing, 73% of families making $100,000 or more in income, which the poll considers affluent, support raising taxes on those making $1 million a year. Again, easy for them to say.

What’s interesting is that the support rises dramatically as the target income increases. So only a quarter of the respondents support higher taxes on those making $250,000 or more. That rises to slightly less than half for $500,000 or more, and shoots to 73% in support of taxing those who make $1 million or more.

What does this tell us?

Jim Taylor of the Harrison Group says it tells us that the affluent support higher taxes on the wealthy. He says there are two reasons: First, they can afford it, since their wealth has rebounded with the stock market. And second, “the dollar value of a tax increase pales in comparison to the dollar value of assets placed in jeopardy by our government’s inability to collect taxes and finance debt. In effect, a substantial investor has more to lose in the market than in their tax return.”

To me, the message is also that the affluent are fine with higher taxes – as long as they only apply to those who are richer than they are.

If you make more than $250,000 a year, do you support higher taxes for yourself?

Comments (5 of 26)

The real question might be, how does anyone feel about giving up their hard-earned dollars to a government seriously in-debt, with out-of-control wasteful spending, and no cohesive plan for recovery. A government with the highest corporate tax rate in the world, that is strangling our country's ability to be competitive in the world market. We need smaller government, less taxes, less overreach, and the ability to let America's free market economy flourish.

2:43 pm May 31, 2014

guriaimran wrote :

i think the wealthy should share their deeds with that are on their fixed income becuse they do not have access to the things that they take advantage of .

12:34 pm June 8, 2013

angela torry wrote :

i think the wealthy should share their fortunes with that are on a fixed income becuse they don,t have access to the things that they take advantage of.

3:21 pm December 21, 2012

RobS wrote :

It's not very surprising the % supporting it go up. Naturally, the incomes go up as well. Asking the $100k if they think $250 should go up is probably a much higher percent "yes" than asking the $500k folks if they should pay more immediately.

To those such as Emily, I wonder why you don't either send in extra each year or find reputable charities. There are good ways to help people in need out there. I'd probably give it directly to a church or non-profit instead of sending it to the government. At least helping someone directly, you can see results.

5:11 am January 23, 2012

EnzoWilliams wrote :

Wow this is the best way to make money. Most rich people hire many managers to manage their money. http://www.investorgoodies.com The rich people who are trying to make the best case on how to protect their investments.

About The Wealth Report

The Wealth Report is a daily blog focused on the culture and economy of the wealthy. It is written by Robert Frank, a senior writer for the Wall Street Journal and author of the newly released book “THE HIGH-BETA RICH.”